[Entitlement to Reimbursement for State Real Estate Tax]

The Bureau of Reclamation requested a decision regarding an employee's entitlement to reimbursement for a transaction privilege tax in connection with the purchase of a new home. GAO noted that: (1) the employee purchased a newly constructed home; and (2) the contractor passed on the transaction privilege tax to the purchaser in the price of the home. GAO held that the transaction privilege tax was an expense that resulted from the construction of the home and was not allowed under applicable regulations. Accordingly, the employee may not be reimbursed for the taxes.